By Lindsey Robbins Published August 6, 2009 Prince George’s Gazette
More than 200 new homes are expected to be offered to personnel at Andrews Air Force Base in Camp Springs over the next six years, but unlike their government-managed predecessors, the new housing will be entirely privatized.
Clark Realty Capital of Arlington, Va., an affiliate of Bethesda’s Clark Construction Group, signed onto the $120 million project in 2007 as part of its overall $280 million deal that also includes privatized military housing at Macdill Air Force Base in Florida. Clark’s lease of the land runs 50 years.
M.H. Jim Estepp, president and CEO of the Greater Prince George’s Business Roundtable, sees the new housing as a much-needed incentive for the area, enticing service members who may have previously considered buying an off-base home. He expects those service members will also need retail and other services once settled, boosting nearby commerce.
“There are very limited retail and other services on that base. People have to shop somewhere, and the more we can accommodate that, the more we’re going to benefit,” Estepp said. “As the economy grows, so does Prince George’s.”
Also, the Pentagon’s Base Realignment and Closure program is expected to bring about 3,000 service members to Andrews in the next year.
Privatized homes for the military are often high-end rental dwellings as large as 2,400 square feet, making them significantly bigger than those managed by the government, said Sean Callahan, project executive for Clark Realty. They also include modern amenities such as energy-efficient systems, backyards and garages. Callahan said Clark military projects provide nearby fitness facilities, easy broadband access and parks within a five-minute walk from each home.
“It’s our airmen that live in these places. This is a real paradigm shift for folks,” Col. Steve Harrison, commander of the Presidential Wing at Andrews, said at a recent roundtable meeting. “Privatized housing opens worlds of opportunity.”
Clark Realty will also renovate 214 existing homes at the base to bring them up to the same standards as the new homes. Its parent company has already worked with 12 military installations and owns 34,000 units nationwide, Callahan said. Clark has been involved with privatized housing for the military since the government began the program in 1996 to revitalize the military community.
“The biggest challenge, and it’s a good challenge, is that you have to compete to provide servicemen residency,” Callahan said, referring to the military’s option of living outside the base. “We work hard to provide great service to draw them here. We’re constantly evaluating the competition and adjusting services.”
Of the 9,000 families associated with Andrews, 10 percent live on base, Callahan said, adding that Clark plans to double that number.
Another extra Clark hopes will lure residents is an Imagine Schools charter school. The school would reserve a certain number of seats for military-dependent students and allow other county students to enroll through a lottery process, Callahan said. Clark also plans to “adopt” a local elementary school and raise funds for both schools.
“Most people live off base due to the school situation,” Callahan said. “Having a charter school will help attract and retain military families.”
Estepp agreed, saying people move to areas like Northern Virginia because of the perception that county public schools aren’t up to snuff.
Col. Steve Shepro, base commander at Andrews, described privatized housing as a “success story,” but Harrison said some projects have gone into default and the government is still working out the kinks in the program.
Clark is also aware of the county’s concern with minority and local business participation, Callahan said. He said that 25 percent of the $54 million already spent on the project has gone to small local and disadvantaged businesses, with half of the $6.8 million earmarked for property management going to small businesses.
So far, the company has built 47 homes — with 53 percent occupancy — at Andrews, although Callahan expects the renovation process to move slowly because Clark has to plan for each building. He said working directly with the Air Force offers more flexibility than typical military construction schedules, allowing the project to adapt along the way.
“This is a really tremendous project that benefits the Air Force and the community,” Callahan said.